Latvia’s Capital Market Activity Barometer 2025 Highlights Asymmetric Development: Strong in Bonds, Lagging in Equities
2026-10-01 14:35
Signet Bank, in cooperation with the national information agency LETA, has created the Latvia’s Capital Market Activity Barometer 2025 – an analytical report providing a comprehensive overview of the development of Latvia’s capital market, combining market data with insights into investor and entrepreneur activity, public awareness and media coverage.
Roberts Idelsons, Chairman of the Management Board of Signet Bank:
“Capital market development in Latvia reflects our collective ability to think more ambitiously about the future of the national economy. The progress achieved over the past five years has been significant – greater than is sometimes assumed when comparing Latvia to larger or more developed markets. Even a relatively modest increase in activity can have a meaningful impact on companies’ growth opportunities and the overall investment environment. With greater investor confidence, higher financial literacy, and more decisive business decisions, the capital market can become one of the most important growth drivers of Latvia’s economy.”
In 2025, the Barometer reached a record-high index value of 226 (2018 = 100), increasing by 12% year-over-year. Investor activity continued to strengthen, with market turnover growing by 24% and the number of transactions by 10%. Capital market topics also gained greater visibility, with the number of media publications increasing by 18%.
The strongest development was recorded in the bond market, where EUR 1.5 billion was raised through 32 transactions during the year. At the same time, the equity market continued to develop at a slower pace, with no IPOs taking place on the Riga Stock Exchange in 2025.
The Barometer also highlights an important challenge for further market development – awareness and understanding among entrepreneurs. While financing opportunities are becoming increasingly accessible, 30% of surveyed entrepreneurs indicated that they do not understand the capital market, demonstrating the continued need for greater financial literacy and practical examples of companies successfully using capital market instruments.
Overall, the 2025 results point to an increasingly active Latvian capital market, supported by growing investor demand and a strong bond segment, while further development of the equity market and broader understanding of capital market opportunities remain important areas for future growth.